Celanese Targets $700 Million to $800 Million in 2027 Free Cash Flow

Celanese expressed confidence in generating $700 million to $800 million in free cash flow in 2027, citing savings and working-capital opportunities amid operating and inflation pressures.

During its Nov. 3 earnings call, the company pointed to opportunities to improve working capital, lower restructuring outlays, and cost and interest savings. Celanese also said it saw no need to increase capital spending.

The company is targeting $150 million in gross productivity gains to offset inflation and plans to pursue additional gains. It acknowledged that inflationary pressure continues.

Celanese said an unplanned, extended turnaround at a key supplier in China lowered its operating rates. The supplier outage also pressured margins.

Other pressure points include raw-material costs, low water levels on the Rhine, European energy costs and increased competition in standard grades.